I've been considering other up-and-coming areas, but have been concerned about my safety doing so, particularly after a tour a couple of weeks ago with Joe Calloway turned up a squatter in one of his properties that we were in, and his saying that he now requires two people to enter any of his vacant properties.It's also great to see other Marin denizens, and other "boomerang" kids!  

There was a 23M project funded and completed by EPA 20 years ago, and the remediation was successful per follow up inspections by the EPA.I have to be honest- that scares me, as this would be my first rental investment.has anyone else had this issue, and should i be concerned? 

In your original post you mentioned many things, and lot of scenarios, so if you are concerned about contingencies, protecting your interests, drawing up 1st or 2cd mortgages, etc.....that is why I suggested an attorney.

I would be more concerned about the parents' willingness to pay repairs when their kid has a party and wrecks the house.

Not a lawyer, but I would have some concerns if I wasn't licensed and was involving your buyer in the transaction with their POF/Preapproval. 

I think the comment above about renting for only 3 or 4 months is very dangerous. 

I am concerned that at least one of the 2 walls is load bearing and both have electrical outlets in the walls.  

His only concern is getting a reasonable rate of return that outperforms the market with a secured and collateralized cash flowing commercial property. 

Tell him your concerns, see where the breakdown in communication is, and figure out how to improve it going forward.

I prop at one of the big casinos out here.The issue with finding a reliable agent is indeed my main concern.